In a big success story, the Khadi and Village Industries Commission (KVIC) has generated over four lakh new employment with an estimated project cost of Rs5,124 crore under Prime Minister’ Employment Generation Programme (PMEGP). The sale of khadi products also shot up to Rs2,005 crore in the fiscal year 2016-17, with nearly 33 per cent growth from Rs1,510 crore during 2015-16.
Riding high on the upsurge in demand for Khadi products, the KVIC Chairman Vinai Kumar Saxena expected to surpass the sales target of Rs5,000 crore by the end of 2018-19. “The sale of khadi products has recorded a quantum jump in 2016-17. We are getting handsome orders from the governments, corporates and schools/ colleges, state governments etc. We will achieve the sales target of Rs5,000 crore by the end of 2018-19,” he said.
Saxena thanked Prime Minister Narendra Modi for taking the keen interest for the revival of Khadi and village industries along with its artisans and workers. “ This could not have been possible without PM’s interest and guidance,” he said, adding, “We have already crossed the 2016-17 target of Rs1,635 crore by Rs370 crore.”
Saxena said that through promotion and sale of KVIC products altogether 4,04,354 new employment were generated with an estimated project cost of Rs5,124 crore.
Saxena further said that Khadi India Showroom at Connaught Place had recorded the retail sale of Rs96 crore in the financial year 2016-17. “It is a titanic jump of 78 per cent from the retail sale of Rs54 crore in the financial year 2015-16. As far as the best single day sale is concerned, this outlet recorded a sale of Rs 1.11 crore on October 22, 2016,” he said, adding, “The launch of several gift vouchers also attracted more customers and increased its sales.
Further to improve the quality and sales of products, KVIC is regularly organising training programmes for spinners and weavers in areas like designing and marketing. While the overall sales of both Khadi and village industries had jumped over 24 per cent to approximately Rs51,996 crore in 2016-17, the production had also shot up over 23 percent to Rs 42,506 crore. The khadi and village industries products are manufactured by about seven lakh privately-owned household units. These units are funded through schemes such as PMEGP.
According to Saxena, till June 30, 2016, total applications received were 59,479 only. “However from July 1, 2016, KVIC launched an online portal and as many as 4,0.354 online applications were received till March 31,” he added.
The KVIC had also digitalized the entire payment process of Modified Market Promotion and Development Assistance (MPDA) scheme. Under the scheme, financial assistance of 30 percent of Prime Cost of Khadi fabric is provided to institutions — which is distributed amongst 40 percent each to Artisans and Producing Institutions and 20 percent to Selling Institutions. Earlier it was offline.
During the financial year 2016-17 it has been made online. Total 1,735 Khadi institutions filed their claims for payment of MPDA online for an amount of Rs 209.46 crores of which an amount of Rs 182.75 crores were disbursed directly into the banks accounts of Khadi institutions, including the accounts of as many as 3,09,673 Khadi artisans.